Posted inOperations

HAI launches Odisha Chapter

Prioritises sustainability and increased international tourist footfall

The Hotel Association of India (HAI), the apex body of hotels across India, launches the Odisha Chapter under the Chairmanship of its Honorary Secretary, Dr JK Mohanty, Managing Director of Swosti Premium Limited. HAI has been persistently urging the government to recognise the tourism and hospitality sector for its immense potential to create jobs, significantly contribute to national, regional, and local economies, and promote inclusive growth. Hotels in the region also contribute to several SDGs.  This recognition should be at both levels of the government: central level and state level

As tourism plays out mostly at the state level, it is important to have a forum to prioritise the growth and development of hotels, a key infrastructure for tourism. At the state level, HAI has identified one key policy intervention that could boost the hotel industry. Every state should extend the benefits to the hotels provided to manufacturing and agriculture in terms of better rates for utilities, lower property taxes etc. The cost of hotel operations is high and mostly fixed. Industry benefits will help in cost reduction, making the hotels more competitive and making investments in hotels more attractive.

The HAI state chapters have been created to focus on this key agenda in each region. The chapter will put together a core group drawn from local HAI member hotels for support. The chapter will map the various schemes available in states targeted at incentivising investments by any industry. It will also enumerate the incentives available to hotels (new and operating) in terms of financial incentives, power, rate of interest and labour. The specific local challenges of the sector, along with best practices, will be identified by the state.

Odisha has been identified as a priority state for the development of tourism as announced in the Union Budget of 2024-2025. It is a fortunate coincidence that Odisha marks the launch of HAI’s first State Chapter. The chapter will interact regularly with the state tourism department and the local stakeholders to promote sustainable tourism and hospitality. There will be efforts by the chapter towards expanding the HAI’s footprint in the state.

Odisha has a robust tourism policy and has allowed certain subsidies like capital investment subsidies, employment subsidies, subsidies on electrical duty, subsidies for environment protection infrastructure, and SGST subsidies. The chapter will work towards ensuring that benefits declared/notified are made available to the hotels. 

Odisha has immense potential for tourism development by improving connectivity, enhancing tourism infrastructure, including quality hotels and promoting tourism domestically as well as in key source markets overseas.

HAI members are planning to expand their presence within the state. The association’s founding members are deeply committed to the planet and the community. HAI is the only industry body in India that fully supports and aligns with the WTTC’s Global Hotel Sustainability Basics initiative.      

The EC members, including,  KB Kachru, HAI President, Chairman of South Asia at Radisson Hotel Group; Rohit Khosla, Vice President of HAI, Executive Vice President (Ops.) of The Indian Hotels Company Limited; Dr JK Mohanty, Member and Honorary Secretary of HAI and Managing Director of Swosti Group; MP Bezbaruah, Member (E-Officio) and Secretary General; Vikram Oberoi, Corporate Member of HAI, Managing Director and CEO of EIH Limited; Ajay Bakaya, Fellow Member of HAI, Managing Director of Sarovar Hotels Pvt Ltd; and R Shankar, Member of HAI, President of Corporate and Legal Affairs at EIH Ltd were in Bhubaneswar to formally launch the chapter. 

HAI team met senior government officials and Deputy Chief Minister, Pravati Parida to discuss the possibilities to collaborate with state authorities to enhance state tourism. It is heartening to note that the Odisha Government has a robust tourist policy. However, the share of domestic and foreign tourist visits to the state is low.  

The Deputy Chief Minister welcomed HAI’s initiative of launching the chapter and stated that she looks forward to a strong collaborative partnership between HAI and the government. This initiative will help Odisha become one of the top five states in terms of tourism and hospitality. 

Samarth Verma, IAS and Managing Director of OTDC and Balwant Singh, Joint Secretary, GOI were also present at the meet. 

Speaking at the launch event, KB Kachru emphasized, “We are happy to introduce the Odisha Chapter, which marks a significant milestone for the association and the hospitality sector. This chapter will help us promote the state’s tourism with the support of HAI hotel members. Odisha has a rich cultural heritage, natural beauty, and historical monuments and requires to be promoted.”

Rohit Khosla stated, “Odisha is rapidly gaining popularity among travellers, drawn by its culture, heritage, and natural beauty. The positive aspect is that four and five-star hotels are increasingly interested in the state and are ready to expand. We are optimistic that the HAI Odisha chapter will assist in the state’s growth and foster collaboration with stakeholders. HAI is committed to the betterment of the industry and will continue to work towards job creation and economic contribution.”

MP Bezbaruah said, “We are thrilled to introduce the HAI Odisha Chapter, a key initiative by the association that will help us collaborate with the government to implement innovative policies and initiatives to promote tourism. HAI is dedicated to not only enhancing the state’s tourism appeal but also creating significant job opportunities for local communities. Together, we will drive growth and development, establishing Odisha as a premier global tourism destination.”

Jitendra Kumar Mohanty added, “As part of HAI, our goal will be to collaborate with government bodies, local stakeholders, communities, and industry partners to realise the full potential of the sector to the advantage of the local community and the state economy.